How to read the Investment Comparative Chart
Transcription
How to read the Investment Comparative Chart
How to read the Investment Comparative Chart This document aims to help you understand the terms and information found in the Investment Comparative Chart. The Investment Comparative Chart provides you with important investment information, including applicable fees, about the investment options available to you under your retirement plan’s group annuity contract with John Hancock. The information is provided in an easy to read format, allowing you to make comparisons of your investment options against a relevant broad-based index. Note: The sample used is for illustrative purposes only and may not reflect all the investment options or all the applicable sections of the Investment Comparative Chart specific to your plan. 1 Variable Return Investments are investment options that have returns that vary according to the performance of each option’s underlying investments. These underlying investments could be comprised of stocks, bonds and/or money market instruments. More information about each investment option, such as objectives and risks, can be obtained by going to the Fund’s corresponding URL, which can be found under the Fund name. 2 The Average Annual Total Return represents annualized historical returns and can be used to evaluate and compare the historical performance of the investment options available under your plan. The annualized average return information is displayed annually for the relevant time periods, ending on the date of the most recently completed calendar year. 3 The Benchmark Return represents the average annual total return of the broad-based market index that is applicable to an investment option. This information is displayed annually for the relevant time periods, ending on the date of the most recently completed calendar year. 4 Equity Funds – the underlying funds of these 1 4 5 6 2 3 investment options invest in equities, more commonly known as stocks. Equity Funds are often categorized by market capitalization (e.g. small-cap, mid-cap, large-cap), investment style (e.g. growth, value, blend) and geographical concentration that may include a focus on international, global or country/region specific investments. 5 Bond Funds – the underlying funds of these investment options invest primarily in bonds and other debt instruments. The exact type of debt the underlying fund invests in will depend on its focus, but investments may include government, corporate, municipal and convertible bonds, along with other debt securities. 6 Other Funds include investment options that are not exclusively categorized under the Equity or Bond Fund sections of the Investment Comparative Chart; they include investment options that span both types, such as balanced funds or asset allocation portfolios. This section also includes investment options that belong to specific categories, such as sector and index funds. 7 9 8 J K 7 Fixed Return Investments are investment options that provide a fixed or stated rate of return for a stated duration. 8 Guaranteed interest account (GIA) is a type of fixed return investment that accumulates interest for the duration of the specified term. 9 Term refers to the number of years until the GIA matures. J The Risk Categories column provides information about the general level of risk that may be associated with each investment option. K The Total Annual Operating Expenses, also commonly referred to as the Fund’s “Expense Ratio” is a measure of what it costs to operate an investment option. It includes such expenses as John Hancock’s administrative maintenance charge (AMC), sales and service fee, and the expenses of the underlying mutual fund. The operating expenses of each investment option are expressed as a percentage of its assets and as a dollar amount per every $1000 invested. Total fees payable depend on the dollar amount you have invested in each Fund and are reflected through a reduction in the Fund’s rate of return. L The Shareholder-type Fees column lists any additional fees that may be charged directly your investment and which are not already included the Total Annual Operating Expenses of the investment option (e.g. redemption fees). L This document is provided by John Hancock for informational purposes only. It is not intended to be, nor should it be construed as or be relied upon as tax, legal, financial or investment advice. Neither John Hancock nor any of its affiliates, representatives, employees, or agents provides tax, financial, investment or legal advice. Both John Hancock Life Insurance Company (U.S.A.) and John Hancock Life Insurance Company of New York do business under certain instances using the John Hancock name. Group annuity contracts and recordkeeping agreements are issued by: John Hancock Life Insurance Company (U.S.A.), Boston, MA 02210 (not licensed in New York) and John Hancock Life Insurance Company of New York, Valhalla, NY 10595. Product features and availability may differ by state. John Hancock Investment Management Services, LLC, a registered investment adviser, provides investment information relating to the contracts NOT FDIC INSURED | MAY LOSE VALUE | NOT BANK GUARANTEED | NOT INSURED BY ANY GOVERNMENT AGENCY © 2012 All Rights Reserved. P19758-GE 06/12-20442 GA02101210541 Investment Comparative Chart THE TRUSTEES OF PUEBLO OF JEMEZ 401(K) PROFIT SHARING PLAN This document includes important information to help you compare the investment options available under your retirement plan. If you would like to receive additional investment-related information on any of the investment options listed below, including more current performance information, go to the Fund's corresponding website address (shown below) or to www.jhpensions.com. To obtain more information, or to receive a paper copy of the information available on the websites at no cost, contact Robert Rohr at (575) 834-7359 and 4471 HIGHWAY 4, TRIBAL ADMINISTRATIVE OFFICE, JEMEZ PUEBLO, NM, 87024 DOCUMENT SUMMARY This document is divided into two parts. Part I consists of performance information for your retirement plan investment options and illustrates how the investments have performed in the past. Part II outlines the fees and expenses applicable to each investment option. PART I Performance Information The table below focuses on the performance of investment options that do not have a fixed or stated rate of return. The table shows how these options have performed over time and allows you to compare them with an appropriate benchmark for the same time periods. Past performance does not guarantee how the investment option will perform in the future. Your investment in these options could lose money. Information about each option's principal risks is available by accessing the website address associated with each Fund, as listed below. The performance data presented represents past performance and current performance may be lower or higher than the performance quoted. An investment in a subaccount will fluctuate in value to reflect the value of the sub-account's underlying securities and, when redeemed, may be worth more or less than original cost. For month-end performance, participants please call 1-800-395-1113 or visit www.jhpensions.com. The Average Annual Total Returns of the investment options available under your qualified plan represent the returns earned for the stated periods and are calculated after accounting for the Total Annual Operating Expenses, as shown in Part II of this document. Performance does not reflect any applicable contract-level or certain participant-level charges, or any redemption fees imposed by an underlying mutual fund company. These charges, if included, would otherwise reduce the total return for a participant's account. Benchmark returns are shown for comparative purposes only. Benchmark returns represent the performance of market indices, which cannot be invested in directly. These returns are calculated without taking into account any investment fees and/or expenses. Hypothetical returns are shown in bold. * VARIABLE RETURN INVESTMENTS Risk Category Name/Type of Option Average Annual Total Return as of 12/31/2011 1 yr. 5 yr. 10 yr. † Benchmark Return as of 12/31/2011 Since Inception 1 yr. 5 yr. 10 yr. Since Inception 2.11� -0.24� 2.92� 15.85� EQUITY FUNDS 87,106 John Hancock Disciplined Value Fund Large Cap Value www.viewjhfunds.com/USA/C01/dvaa/index.html Growth 0.32� 0.05% 4.54% 14.87% Growth & Income 2.22� -4.19� N/A 3.00� Growth & Income -1.04� -1.30� 3.62� 10.17% 0.39� 5,13,73,101,102 Fundamental Large Cap Value Fund Large Cap Value www.viewjhfunds.com/USA/C01/eqia/index.html Investment Options as of Jul/30/2012 Growth & Income -2.40� -3.45� 3.69� 7.75% 3.89� 3.66� -0.24� 2.92� 10.23� S&P 500 TR 2.11� 41,61,96 Mutual Beacon Fund Large Cap Value www.viewjhfunds.com/USA/C01/mcva/index.html -2.63� Russell 1000 Value TR 2.11� 30,31,54 T. Rowe Price Equity Income Fund Large Cap Value www.viewjhfunds.com/USA/C01/d_ga/index.html S&P 500 TR -0.24� 2.92� N/A S&P 500 TR Page 1 of 15 * VARIABLE RETURN INVESTMENTS Risk Category Name/Type of Option Average Annual Total Return as of 12/31/2011 1 yr. 5 yr. 10 yr. † Benchmark Return as of 12/31/2011 Since Inception 38,40,61,65 Washington Mutual Investors Fund Large Cap Value www.viewjhfunds.com/USA/C01/wmia/index.html Growth & Income 6.81� -0.14� 3.43% Growth 0.66� -0.56� 1.97� 7.37% Growth & Income -4.81� -2.36� 3.35� 11.53% Growth & Income -1.95� -1.10� 3.14% Growth 1.26� 1.67� 2.98� 6.22% Growth 0.17� 2.19� 2.47� 0.36% Growth -5.02� -0.78� 3.35% 5.49� Growth 0.98� 2.20� 6.47� 1.60� 8.32� 11.49% Aggressive Growth -9.24� 0.22� 5.52� 3.57� Aggressive Growth -6.67� 5.53% 7.36% 10.84% Franklin Small-Mid Cap Growth Fund Mid Cap Growth www.viewjhfunds.com/USA/C01/scga/index.html 2.34� 3.87� 9.68% Growth 1.04� 3.23� 9.44% 12.64% Investment Options as of Jul/30/2012 Aggressive Growth -3.64� 0.86� 6.17% 9.41% 2.92� N/A -0.24� 2.92� 7.82� 2.50� 2.59� -0.04� -0.24� 2.92� 5.65� 0.03� 7.66� 8.92� 0.03� 7.66� 7.81� Russell MidCap Value TR 2.43� 5.28� 3.93� Russell MidCap Growth TR 2.43� 5.28� 10.21� Russell MidCap Growth TR 2.43� 5.28� 8.15� Russell MidCap Growth TR -1.87� 6.40� 7.95� Russell 2000 Value TR -4.17� 31,54 DFA US Small Cap Fund Small Cap Blend www.viewjhfunds.com/USA/C01/scpa/index.html -0.24� Russell MidCap Value TR -5.50� 13,22,23,53,91 Small Cap Value Fund Small Cap Value www.viewjhfunds.com/USA/C01/smva/index.html N/A S&P 500 TR -1.65� -4.89� 2.92� Russell 1000 Growth TR -1.65� Aggressive Growth -0.24� S&P 500 TR -1.65� 54,87 American Century Heritage Fund Mid Cap Growth www.viewjhfunds.com/USA/C01/hera/index.html 8.27� S&P 500 TR -1.38� 2.00� 2.92� S&P 500 TR 6.87% Growth -0.24� S&P 500 TR -1.38� 13,23,41,47,73,90 Mid Cap Stock Fund Mid Cap Growth www.viewjhfunds.com/USA/C01/mcsa/index.html S&P 500 TR 2.11� 12,32,71 JP Morgan Mid Cap Value Fund Mid Cap Value www.viewjhfunds.com/USA/C01/mida/index.html 5.65� 2.64� 13,22,77,91,106 Value Fund Mid Cap Value www.viewjhfunds.com/USA/C01/vlfa/index.html 2.92� 2.11� 9,38,40,61,65 The Growth Fund of America Large Cap Growth www.viewjhfunds.com/USA/C01/gfaa/index.html -0.24� 11.23% 12,13,15,57,73,85,106 Capital Appreciation Fund Large Cap Growth www.viewjhfunds.com/USA/C01/cpaa/index.html 2.11� 2.11� 13,57,73,90 Blue Chip Growth Fund Large Cap Growth www.viewjhfunds.com/USA/C01/bcfa/index.html Since Inception 2.11� 38,40,61,65 The Investment Company of America Large Cap Blend www.viewjhfunds.com/USA/C01/icaa/index.html 10 yr. 2.11� 15,31,50,80,90 Davis New York Venture Fund Large Cap Blend www.viewjhfunds.com/USA/C01/vala/index.html 5 yr. 5.02� 20,43,51,64 Domini Social Equity Fund Large Cap Blend www.viewjhfunds.com/USA/C01/soca/index.html 1 yr. 0.15� 5.61� 6.65� Russell 2000 TR Page 2 of 15 * VARIABLE RETURN INVESTMENTS Risk Category Name/Type of Option Average Annual Total Return as of 12/31/2011 1 yr. 5 yr. 10 yr. † Benchmark Return as of 12/31/2011 Since Inception 41 Small Cap Growth Index Fund Small Cap Growth www.viewjhfunds.com/USA/C01/vsga/index.html Aggressive Growth -2.06� 3.20� 6.89% Aggressive Growth -1.27� 2.73� 4.24� 9.07% Growth -1.52� -1.74� N/A 5.30� Growth -4.11� 1.86� 4.32� Aggressive Growth -18.24� -2.32� 6.78� 4.86% Aggressive Growth -12.92� -4.01� 5.30� 3.38� Growth -5.49� -2.35� 4.97� 11.60% Aggressive Growth -13.73� -1.64� 6.22% 10.83% -2.93� 1.17� 7.83� 12.07% Aggressive Growth -18.06� 5.65� 17.56� 14.46% Growth -8.69� -1.63� 4.94� 11.39% Income 2.24� 4.10� 3.48� 5.31% 4.76� -0.01� 3.51� 6.25� -2.57� 4.08� 3.41� Russell 3000 Value TR -0.99� 11.11� 6.16� Citigroup Global ex USA <�2billion -4.72� 4.66� 1.89� MSCI EAFE TR -2.36� 3.61� 9.52� MSCI World TR -2.48� 6.75� N/A MSCI All Country World Index ex U.S. -2.36� 3.61� 6.47� MSCI World TR -18.42� 2.40� 13.85� N/A MSCI Emerging Markets -5.54� 29,56,81 Oppenheimer Global Fund International/Global Growth www.viewjhfunds.com/USA/C01/wwfa/index.html 4.47� Russell 3000 TR -5.54� Growth & Income 2.08� Russell 2000 Growth TR -13.32� 21,56 Oppenheimer Developing Markets Fund International/Global Growth www.viewjhfunds.com/USA/C01/dmka/index.html MSCI US Small Cap Growth Index -5.54� 42,61 Mutual Global Discovery Fund International/Global Blend www.viewjhfunds.com/USA/C01/disa/index.html 6.37� -12.14� 38,40,41,47,61,65,85 EuroPacific Growth Fund International/Global Blend www.viewjhfunds.com/USA/C01/epga/index.html 6.08� -19.60� 41,80,81 Templeton World Fund International/Global Value www.viewjhfunds.com/USA/C01/diva/index.html 3.72� 4.13� 9,13,23,47,73 International Value Fund International/Global Value www.viewjhfunds.com/USA/C01/itva/index.html -1.52� -0.10� 13,41,73 International Small Cap Fund International/Global Value www.viewjhfunds.com/USA/C01/isfa/index.html Since Inception 1.02� 12,13,41,73 All Cap Value Fund Multi Cap Blend www.viewjhfunds.com/USA/C01/acva/index.html 10 yr. -2.90� 5,13,22,38,50,91,101,103 Fundamental All Cap Core Fund Multi Cap Blend www.viewjhfunds.com/USA/C01/qaca/index.html 5 yr. 6.19% 17,18,44,57,67 Invesco Small Cap Growth Fund Small Cap Growth www.viewjhfunds.com/USA/C01/scoa/index.html 1 yr. -2.36� 3.61� 8.39� MSCI World TR BOND FUNDS 3.20� 15,83 Short-Term Federal Fund High Quality Short Term Fixed Income www.viewjhfunds.com/USA/C01/gova/index.html Investment Options as of Jul/30/2012 Conservative -0.30� 1.19� 1.53� 3.87% 4.05� 6.05� BarCap 1-5 Yr Government 0.07� 13,22,82,83,91,101 Money Market Fund High Quality Short Term Fixed Income www.viewjhfunds.com/USA/C01/mmra/index.html 4.75� 1.36� 1.85� 4.16� Citigroup U.S. Domestic 3 Mo TBill TR Page 3 of 15 * VARIABLE RETURN INVESTMENTS Risk Category Name/Type of Option Average Annual Total Return as of 12/31/2011 1 yr. 5 yr. 10 yr. † Benchmark Return as of 12/31/2011 Since Inception 1 yr. 5 yr. Since Inception 10 yr. Money Market Fund current 7-day yield is -0.17�. The current yield quotation more closely reflects the current earnings of the Money Market Fund as of the date this report was prepared while the Annualized returns above refer to a specific past holding period reflecting the period covered by this report. Although the fund strives to maintain a positive yield, there is no guarantee the fund will be able to do so. An investment in the underlying Money Market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The underlying fund seeks to preserve a value of �1.00 per share but it is possible to lose money by investing in the Money Market Fund that invests in the underlying fund. 7.84� 41,62 PIMCO Total Return Fund High Quality Intermediate Term Fixed Income www.viewjhfunds.com/USA/C01/trna/index.html Income 3.64� 7.55� 6.27� 7.73% Income 11.01� 7.82� 7.33% 7.62% T. Rowe Price Spectrum Income Fund Medium Quality Intermediate Term Fixed Income www.viewjhfunds.com/USA/C01/inca/index.html Income 3.79� 5.34� 6.44� 7.21% 1.33� 6.17� 7.12� 5.19% Income 8.65� 8.10� 8.48% 6.61% Growth & Income 3.67� 2.25� 4.72% 10.32% 7.57� 7.78� 6.50� 5.77� 7.06� 7.15� 8.67� 6.97� Citigroup Hi-Yld TR 7.70� 34,55 PIMCO Global Bond Fund Global Bond www.viewjhfunds.com/USA/C01/pfba/index.html 7.95� BarCap U.S. Aggregate Bond TR 5.51� Income 7.39� BarCap U.S. TIPS 7.84� 13,45,54,69,73 High Yield Fund High Yield Bond www.viewjhfunds.com/USA/C01/hyfa/index.html 5.77� BarCap U.S. Aggregate Bond TR 13.56� 38 PIMCO Real Return Fund High Quality Long Term Fixed Income www.viewjhfunds.com/USA/C01/prra/index.html 6.50� 7.59� 7.94� 6.43� J.P. Morgan Global Bond Unhedged OTHER FUNDS 2.11� 31,38,40,50,61,65 American Balanced Fund Balanced www.viewjhfunds.com/USA/C01/abfa/index.html Aggressive Growth -14.24� -3.45� 5.90� 5.48% Aggressive Growth -4.50� -0.18� 4.98� 4.62% Growth -2.25� 2.86� 6.46� 6.26% Growth 0.27� 0.01� 3.42� 1.41% Growth & Income 1.57� -0.73� 2.37� 7.03% Investment Options as of Jul/30/2012 Aggressive Growth 9.38� -1.10� 10.58� 10.03% 0.15� 5.61� 5.26� 3.31� 7.03� 6.82� 0.12� 3.80� 1.68� -0.24� 2.92� 7.77� S&P 500 TR 8.69� 13,14,57,73 Real Estate Securities Fund Sector www.viewjhfunds.com/USA/C01/refa/index.html N/A DJ Wilshire 5000 TR 2.11� 9,13,22,76,91,101 500 Index Fund Index www.viewjhfunds.com/USA/C01/inda/index.html 6.31� S&P MidCap 400 TR 0.97� 13,22,29,76,91,101 Total Stock Market Index Fund Index www.viewjhfunds.com/USA/C01/tsma/index.html -2.92� Russell 2000 TR -1.73� 13,22,48,57,76,82,91,101 Mid Cap Index Fund Index www.viewjhfunds.com/USA/C01/mcia/index.html 10.89� MSCI AC World Free ex US -4.17� 13,22,29,76,91,101 Small Cap Index Fund Index www.viewjhfunds.com/USA/C01/scia/index.html 2.92� S&P 500 (60� S&P 500/40� BarCap Agg Bond) -13.70� 13,15,21,22,29,76,91 International Equity Index Fund Index www.viewjhfunds.com/USA/C01/iifa/index.html -0.24� -1.51� 10.16� N/A Morgan Stanley REIT Page 4 of 15 * VARIABLE RETURN INVESTMENTS Risk Category Name/Type of Option Average Annual Total Return as of 12/31/2011 1 yr. 5 yr. 10 yr. † Benchmark Return as of 12/31/2011 Since Inception 14,34,66 Energy Fund Sector www.viewjhfunds.com/USA/C01/vena/index.html Aggressive Growth -2.24� 3.31� 13.58% Aggressive Growth -4.78� 3.85� 1.85� 10.20% Aggressive Growth -7.75� 4.66� 1.99� 2.72% Aggressive Growth -9.51� -5.82� 1.94� Aggressive Growth 10.61� 7.21� 7.11� 11.31% Growth 6.59� 5.01� 10.03� 11.42% Asset Allocation - Lifestyle -6.76� -1.53� 3.82� 2.62� Asset Allocation - Lifestyle -4.94� 0.11� 4.37� 3.81� Asset Allocation - Lifestyle -2.20� 1.52� 5.03� 4.72� Asset Allocation - Lifestyle 1.02� 3.16� 5.28� 5.31� Asset Allocation - Lifestyle 3.05� 4.55� 5.46� 5.75� Investment Options as of Jul/30/2012 1.55� 9.14� 2.73� 1.55� 4.62� Lipper Science & Technology -16.89� -4.59� -4.71� S&P 500 Financial 4.97� 4.00� 9.14� Lipper Health/Biotechnology Index 3.71� 6.43� 7.63� S&P 500 Sec/Utilities TR -0.24� 2.92� 3.74� S&P 500 TR -0.24� 2.92� 3.74� S&P 500 (80� S&P 500/20� BarCap Agg Bond) 2.11� -0.24� 2.92� 3.74� S&P 500 (60� S&P 500/40� BarCap Agg Bond) 7.84� 6.50� 5.77� 6.16� BarCap Agg Bond (40� S&P 500/60� BarCap Agg Bond) 7.84� 13,68,101 Lifestyle Fund - Conservative Portfolio Asset Allocation - Lifestyle www.viewjhfunds.com/USA/C01/clsa/index.html 2.73� Lipper Science & Technology 2.11� 13,31,68,101 Lifestyle Fund - Moderate Portfolio Asset Allocation - Lifestyle www.viewjhfunds.com/USA/C01/mlsa/index.html S&P Energy Sector Index 2.11� 9,13,68,101 Lifestyle Fund - Balanced Portfolio Asset Allocation - Lifestyle www.viewjhfunds.com/USA/C01/blsa/index.html N/A 19.91� 13,68,101 Lifestyle Fund - Growth Portfolio Asset Allocation - Lifestyle www.viewjhfunds.com/USA/C01/glsa/index.html 11.65� 9.30� 13,68,101 Lifestyle Fund - Aggressive Portfolio Asset Allocation - Lifestyle www.viewjhfunds.com/USA/C01/alsa/index.html 4.67� 1.14� 12,14,61 MFS Utilities Fund Sector www.viewjhfunds.com/USA/C01/ulfa/index.html 4.72� -17.06� 12,14,57 T. Rowe Price Health Sciences Fund Sector www.viewjhfunds.com/USA/C01/hlsa/index.html Since Inception -5.81� 12,13,14,15,22,91 Financial Services Fund Sector www.viewjhfunds.com/USA/C01/fsfa/index.html 10 yr. -5.81� 13,14,22,57,62,91,92 Science & Technology Fund Sector www.viewjhfunds.com/USA/C01/stfa/index.html 5 yr. 12.29% 14,62 T. Rowe Price Science & Technology Fund Sector www.viewjhfunds.com/USA/C01/scta/index.html 1 yr. 6.50� 5.77� 6.16� BarCap Agg Bond (20� S&P 500/80� BarCap Agg Bond) Page 5 of 15 FIXED RETURN INVESTMENTS The table below focuses on the performance of investment options that have a fixed or stated return. The table shows the annual 'new money' rate for each Guaranteed Interest Account, the term or length of the option, and other information relevant to performance. Risk Category Return as of 07/01/2012 Term Other 71,78,83 Conservative 0.15� 3-year 5-Year Guaranteed Five Year Guaranteed Interest Account www.viewjhfunds.com/USA/C01/giaa/index.html 71,78,83 Conservative 0.40� 5-year "Return" shown represents the annual interest rates that is established on the first day of the month indicated. That interest rate is applied to all contributions made to the account in that month. John Hancock may adjust the rate of return prospectively, as each month, a new rate is declared and applied to contributions made that month. You may call 1-800-395-1113 to obtain the most recent rate. 71,78,83 Conservative Name/Type of Option 3-Year Guaranteed Three Year Guaranteed Interest Account www.viewjhfunds.com/USA/C01/giaa/index.html 10-Year Guaranteed Ten Year Guaranteed Interest Account www.viewjhfunds.com/USA/C01/giaa/index.html 0.80� 10-year At the end of each reporting year, a "composite interest rate" is determined. The composite interest rate is a dollar-weighted average rate of all contributions to that Guaranteed Interest Account during that reporting year. A separate composite interest rate is calculated for each GIA term and each reporting year, if applicable. For example, separate composite interest rates would be calculated for deposits made to the 3-year and 10-year GIAs. Further, separate composite interest rates would be calculated for the 3-year GIAs from one reporting year to another. The GIA balance will continue to earn that reporting year's composite interest rate until the end of the guaranteed term. Participants with assets in a Guaranteed Interest Account can obtain more information on the composite interest rate that applies to their account by calling Participant Services at 1-800-395-1113 or viewing their most current Participant Statement. PART II Fee and Expense Information This section shows fee and expense information for the investment options listed above. Below you will find the Total Annual Operating Expenses and Shareholder-type Fees (if applicable) as they relate to each investment option. Total Annual Operating Expenses are expenses that reduce the rate of return of the investment option. It is important to understand that the investment rate of return, as set out in the Performance Information section, is calculated net of the Total Annual Operating Expenses of the investment option. However, such returns do not take into account any applicable Shareholder-type fees, which are in addition to the Total Annual Operating Expenses of the investment option. The cumulative effect of fees and expenses can substantially reduce the growth of your retirement savings. Visit the Department of Labor's website for an example showing the long-term effect of fees and expenses at www.dol.gov/ebsa/publications/401k_employee.html. Fees and expenses are only one of many factors to consider when you decide to invest in an option. You may also want to think about whether an investment in a particular option, along with your other investments, will help you achieve your financial goals. FEES AND EXPENSES Risk Category Name/Type of Option Total Annual Operating Expenses as of 06/30/2012 As a � Per �1000 Shareholder-Type Fees EQUITY FUNDS 87,106 John Hancock Disciplined Value Fund Large Cap Value www.viewjhfunds.com/USA/C01/dvaa/index.html 5,13,73,101,102 Fundamental Large Cap Value Fund Large Cap Value www.viewjhfunds.com/USA/C01/eqia/index.html 30,31,54 T. Rowe Price Equity Income Fund Large Cap Value www.viewjhfunds.com/USA/C01/d_ga/index.html Investment Options as of Jul/30/2012 Growth 0.90� �9.00 N/A Growth & Income 0.78� �7.80 N/A Growth & Income 1.02� �10.20 N/A Page 6 of 15 FEES AND EXPENSES Risk Category Name/Type of Option 41,61,96 Mutual Beacon Fund Large Cap Value www.viewjhfunds.com/USA/C01/mcva/index.html Total Annual Operating Expenses as of 06/30/2012 As a � Per �1000 Shareholder-Type Fees Growth & Income 1.09� �10.90 N/A Growth & Income 0.80� �8.00 N/A Growth 1.25� �12.50 Redemption fee of 2.000� on all exchanges within a 30 day 43 period. See Important Notes for details. Growth & Income 0.92� �9.20 N/A Growth & Income 0.80� �8.00 N/A Growth 0.86� �8.60 N/A Growth 0.78� �7.80 N/A Growth 0.83� �8.30 N/A Growth 0.83� �8.30 N/A Growth 1.16� �11.60 N/A Aggressive Growth 0.93� �9.30 N/A American Century Heritage Fund Mid Cap Growth www.viewjhfunds.com/USA/C01/hera/index.html Aggressive Growth 1.16� �11.60 N/A Franklin Small-Mid Cap Growth Fund Mid Cap Growth www.viewjhfunds.com/USA/C01/scga/index.html Aggressive Growth 1.00� �10.00 N/A Growth 1.33� �13.30 N/A Aggressive Growth 0.87� �8.70 N/A 38,40,61,65 Washington Mutual Investors Fund Large Cap Value www.viewjhfunds.com/USA/C01/wmia/index.html 20,43,51,64 Domini Social Equity Fund Large Cap Blend www.viewjhfunds.com/USA/C01/soca/index.html 15,31,50,80,90 Davis New York Venture Fund Large Cap Blend www.viewjhfunds.com/USA/C01/vala/index.html 38,40,61,65 The Investment Company of America Large Cap Blend www.viewjhfunds.com/USA/C01/icaa/index.html 13,57,73,90 Blue Chip Growth Fund Large Cap Growth www.viewjhfunds.com/USA/C01/bcfa/index.html 12,13,15,57,73,85,106 Capital Appreciation Fund Large Cap Growth www.viewjhfunds.com/USA/C01/cpaa/index.html 9,38,40,61,65 The Growth Fund of America Large Cap Growth www.viewjhfunds.com/USA/C01/gfaa/index.html 13,22,77,91,106 Value Fund Mid Cap Value www.viewjhfunds.com/USA/C01/vlfa/index.html 12,32,71 JP Morgan Mid Cap Value Fund Mid Cap Value www.viewjhfunds.com/USA/C01/mida/index.html 13,23,41,47,73,90 Mid Cap Stock Fund Mid Cap Growth www.viewjhfunds.com/USA/C01/mcsa/index.html 54,87 13,22,23,53,91 Small Cap Value Fund Small Cap Value www.viewjhfunds.com/USA/C01/smva/index.html 31,54 DFA US Small Cap Fund Small Cap Blend www.viewjhfunds.com/USA/C01/scpa/index.html Investment Options as of Jul/30/2012 Page 7 of 15 FEES AND EXPENSES Risk Category Name/Type of Option 41 Small Cap Growth Index Fund Small Cap Growth www.viewjhfunds.com/USA/C01/vsga/index.html 17,18,44,57,67 Invesco Small Cap Growth Fund Small Cap Growth www.viewjhfunds.com/USA/C01/scoa/index.html 5,13,22,38,50,91,101,103 Fundamental All Cap Core Fund Multi Cap Blend www.viewjhfunds.com/USA/C01/qaca/index.html 12,13,41,73 All Cap Value Fund Multi Cap Blend www.viewjhfunds.com/USA/C01/acva/index.html 13,41,73 International Small Cap Fund International/Global Value www.viewjhfunds.com/USA/C01/isfa/index.html 9,13,23,47,73 International Value Fund International/Global Value www.viewjhfunds.com/USA/C01/itva/index.html 41,80,81 Templeton World Fund International/Global Value www.viewjhfunds.com/USA/C01/diva/index.html 38,40,41,47,61,65,85 EuroPacific Growth Fund International/Global Blend www.viewjhfunds.com/USA/C01/epga/index.html 42,61 Mutual Global Discovery Fund International/Global Blend www.viewjhfunds.com/USA/C01/disa/index.html 21,56 Oppenheimer Developing Markets Fund International/Global Growth www.viewjhfunds.com/USA/C01/dmka/index.html 29,56,81 Oppenheimer Global Fund International/Global Growth www.viewjhfunds.com/USA/C01/wwfa/index.html Total Annual Operating Expenses as of 06/30/2012 As a � Per �1000 Shareholder-Type Fees Aggressive Growth 0.74� �7.40 N/A Aggressive Growth 1.27� �12.70 N/A Growth 0.76� �7.60 N/A Growth 0.87� �8.70 N/A Aggressive Growth 1.20� �12.00 N/A Aggressive Growth 0.97� �9.70 N/A Growth 1.07� �10.70 N/A Aggressive Growth 1.00� �10.00 N/A Growth & Income 1.26� �12.60 N/A Aggressive Growth 1.25� �12.50 N/A Growth 1.15� �11.50 N/A Income 0.70� �7.00 N/A Conservative 0.55� �5.50 N/A BOND FUNDS 15,83 Short-Term Federal Fund High Quality Short Term Fixed Income www.viewjhfunds.com/USA/C01/gova/index.html 13,22,82,83,91,101 Money Market Fund High Quality Short Term Fixed Income www.viewjhfunds.com/USA/C01/mmra/index.html Money Market Fund current 7-day yield is -0.17�. The current yield quotation more closely reflects the current earnings of the Money Market Fund as of the date this report was prepared while the Annualized returns above refer to a specific past holding period reflecting the period covered by this report. Although the fund strives to maintain a positive yield, there is no guarantee the fund will be able to do so. An investment in the underlying Money Market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The underlying fund seeks to preserve a value of �1.00 per share but it is possible to lose money by investing in the Money Market Fund that invests in the underlying fund. Investment Options as of Jul/30/2012 Page 8 of 15 FEES AND EXPENSES Risk Category Name/Type of Option 41,62 PIMCO Total Return Fund High Quality Intermediate Term Fixed Income www.viewjhfunds.com/USA/C01/trna/index.html 38 PIMCO Real Return Fund High Quality Long Term Fixed Income www.viewjhfunds.com/USA/C01/prra/index.html T. Rowe Price Spectrum Income Fund Medium Quality Intermediate Term Fixed Income www.viewjhfunds.com/USA/C01/inca/index.html 13,45,54,69,73 High Yield Fund High Yield Bond www.viewjhfunds.com/USA/C01/hyfa/index.html 34,55 PIMCO Global Bond Fund Global Bond www.viewjhfunds.com/USA/C01/pfba/index.html Total Annual Operating Expenses as of 06/30/2012 As a � Per �1000 Shareholder-Type Fees Income 0.96� �9.60 N/A Income 0.95� �9.50 N/A Income 1.04� �10.40 N/A Income 0.76� �7.60 N/A Income 1.05� �10.50 N/A OTHER FUNDS 31,38,40,50,61,65 American Balanced Fund Balanced www.viewjhfunds.com/USA/C01/abfa/index.html 13,15,21,22,29,76,91 International Equity Index Fund Index www.viewjhfunds.com/USA/C01/iifa/index.html 13,22,29,76,91,101 Small Cap Index Fund Index www.viewjhfunds.com/USA/C01/scia/index.html 13,22,48,57,76,82,91,101 Mid Cap Index Fund Index www.viewjhfunds.com/USA/C01/mcia/index.html 13,22,29,76,91,101 Total Stock Market Index Fund Index www.viewjhfunds.com/USA/C01/tsma/index.html 9,13,22,76,91,101 500 Index Fund Index www.viewjhfunds.com/USA/C01/inda/index.html 13,14,57,73 Real Estate Securities Fund Sector www.viewjhfunds.com/USA/C01/refa/index.html 14,34,66 Energy Fund Sector www.viewjhfunds.com/USA/C01/vena/index.html 14,62 T. Rowe Price Science & Technology Fund Sector www.viewjhfunds.com/USA/C01/scta/index.html Investment Options as of Jul/30/2012 Growth & Income 0.80� �8.00 N/A Aggressive Growth 0.63� �6.30 N/A Aggressive Growth 0.60� �6.00 N/A Growth 0.54� �5.40 N/A Growth 0.57� �5.70 N/A Growth & Income 0.53� �5.30 N/A Aggressive Growth 0.79� �7.90 N/A Aggressive Growth 0.84� �8.40 N/A Aggressive Growth 1.17� �11.70 N/A Page 9 of 15 FEES AND EXPENSES Risk Category Name/Type of Option 13,14,22,57,62,91,92 Science & Technology Fund Sector www.viewjhfunds.com/USA/C01/stfa/index.html 12,13,14,15,22,91 Financial Services Fund Sector www.viewjhfunds.com/USA/C01/fsfa/index.html 12,14,57 T. Rowe Price Health Sciences Fund Sector www.viewjhfunds.com/USA/C01/hlsa/index.html 12,14,61 MFS Utilities Fund Sector www.viewjhfunds.com/USA/C01/ulfa/index.html 13,68,101 Lifestyle Fund - Aggressive Portfolio Asset Allocation - Lifestyle www.viewjhfunds.com/USA/C01/alsa/index.html 13,68,101 Lifestyle Fund - Growth Portfolio Asset Allocation - Lifestyle www.viewjhfunds.com/USA/C01/glsa/index.html 9,13,68,101 Lifestyle Fund - Balanced Portfolio Asset Allocation - Lifestyle www.viewjhfunds.com/USA/C01/blsa/index.html 13,31,68,101 Lifestyle Fund - Moderate Portfolio Asset Allocation - Lifestyle www.viewjhfunds.com/USA/C01/mlsa/index.html 13,68,101 Lifestyle Fund - Conservative Portfolio Asset Allocation - Lifestyle www.viewjhfunds.com/USA/C01/clsa/index.html Total Annual Operating Expenses as of 06/30/2012 As a � Per �1000 Shareholder-Type Fees Aggressive Growth 1.16� �11.60 N/A Aggressive Growth 0.91� �9.10 N/A Aggressive Growth 1.17� �11.70 N/A Growth 1.04� �10.40 N/A Asset Allocation - Lifestyle 1.10� �11.00 N/A Asset Allocation - Lifestyle 1.07� �10.70 N/A Asset Allocation - Lifestyle 1.00� �10.00 N/A Asset Allocation - Lifestyle 0.99� �9.90 N/A Asset Allocation - Lifestyle 0.92� �9.20 N/A Conservative N/A N/A Conservative N/A N/A Conservative N/A N/A FIXED RETURN INVESTMENTS 71,78,83 3-Year Guaranteed Three Year Guaranteed Interest Account www.viewjhfunds.com/USA/C01/giaa/index.html 71,78,83 5-Year Guaranteed Five Year Guaranteed Interest Account www.viewjhfunds.com/USA/C01/giaa/index.html 71,78,83 10-Year Guaranteed Ten Year Guaranteed Interest Account www.viewjhfunds.com/USA/C01/giaa/index.html Transfers between a Guaranteed Interest Account and other investment options (except for transfers between Guaranteed Interest Accounts) may be permitted (at book value) under the terms of your plan's contract with John Hancock. Some conditions apply, including limitations as to permitted transfer dates, noted on your quarterly statement, if applicable. Transfers that are initiated on dates other than those specified in the contract may be subject to a market value adjustment. Similarly, withdrawals taken from Guaranteed Interest Accounts prior to the end of the guarantee period, may be subject to a market value adjustment. Book value transfers are subject to an annual 20� book value transfer limit for each Guaranteed Interest Account balance. Transfers in excess of this limit are made at the lesser of book and market value. Please visit www.ps.jhancockpensions.com/assets/pdfs/SPARK_Glossary.pdf for a glossary of investment terms relevant to the investment options under this plan. Investment Options as of Jul/30/2012 Page 10 of 15 IMPORTANT NOTES * Your company's qualified retirement plan offers participants the opportunity to contribute to investment options available under a group annuity contract with John Hancock Life Insurance Company (U.S.A.) (John Hancock USA). These investment options may be sub-accounts (pooled funds) investing directly in underlying mutual funds, or they may be Guaranteed Interest Accounts. 23 The placement of investment options within style boxes and according to potential risk/ return shows John Hancock USA's assessment of those options relative to one another and should not be used to compare these investment options with other investment options available outside John Hancock USA. 30 † 31 Index Performance: Index performance shown is for a broad-based securities market index. Indices are unmanaged and cannot be invested in directly. Index returns were prepared using Morningstar, Inc. software and data. The performance of an Index does not include any portfolio or insurance-related charges. If these charges were reflected, performance would be lower. Past performance is not a guarantee of future results. 5 The underlying fund changed its name effective on or about May 5, 2008. Performance shown for periods prior to that date reflect the results under its former name. The name of this sub-account changed effective on or about May 5, 2008 to more accurately reflect the name of the underlying fund. 9 Account balance reported may include assets transferred from another Fund, which was permanently closed on or about April 30, 2007. Contact your John Hancock representative for more information. 12 This sub-account was introduced April 27, 2001. 13 For internally-managed Funds advised and sub-advised exclusively by John Hancock USA's affiliates, the total fees John Hancock USA and its affiliates receive from these Funds may be higher than those advised or sub-advised exclusively by unaffiliated mutual fund companies. These fees can come from the Fund or trust's Rule 12b-1, sub-transfer agency, management, AMC or other fees, and may vary from Fund to Fund. Except for certain asset allocation portfolios (i.e., the Lifecycle Portfolios, Lifestyle Portfolios, Core Portfolios and the Guaranteed Income Feature Portfolios), John Hancock USA uses the revenue received from 12b-1, sub-transfer agency, and management fees to determine the AMC for that Fund, such that the sum of 12b-1, sub transfer agency, management fees and AMC received by John Hancock USA equals 0.50�. Account balance reported may include assets transferred from another Fund, which was permanently closed on or about October 29, 2007. Consult your John Hancock representative for more information. 29 This sub-account was introduced August 21, 2000. This sub-account previously invested in a different underlying portfolio. It began investing in the current underlying portfolio effective November 25, 2002. Performance shown for periods prior to that date is based on the performance of the current underlying portfolio. Account balance reported may include assets transferred from another Fund, which was permanently closed on or about April 27, 2009. Contact your John Hancock representative for more information. 32 This sub-account previously invested in a different underlying portfolio. It began investing in the current underlying portfolio effective June 1, 2009. Performance shown for periods prior to that date is based on the performance of the current underlying portfolio. The name of this sub-account changed effective on or about June 1, 2009 to more accurately reflect the name of the underlying fund. 34 This sub-account was introduced September 6, 2002. 38 This sub-account was introduced May 2, 2003. 40 This sub-account previously invested in a different share class of the same underlying portfolio. It began investing in the current share class effective on or about July 28, 2008. Performance shown for periods prior to that date is based on the performance of the current share class. 41 Account balance reported may include assets transferred from another Fund, which was permanently closed on or about October 27, 2008. Contact your John Hancock representative for more information. 42 The name of this sub-account changed effective on or about November 9, 2009 to more accurately reflect the name of the underlying fund. Contact your John Hancock representative for more information. 43 The underlying fund concentrates its investments in a sector of the market. A portfolio of this type may be riskier or more volatile in price than one that invests in more market sectors. Important Redemption Fee Information: Domini Social Equity Fund - Effective August 18, 2008, the underlying fund will impose a 2� redemption fee on all selling/ exchanges of the fund over �25,000 within a thirty-day period. The ''First-In/FirstOut'' (''FIFO'') method was used to determine whether the shares have been held for the prescribed holding period and, therefore, whether the redemption fee will be applied. 15 Account balance reported for this Fund may include assets transferred from another Fund, which will be permanently closed on or about April 26, 2010. Consult your John Hancock representative for more information. 44 17 45 14 This sub-account previously invested in a different underlying portfolio. It began investing in the current underlying portfolio effective May 5, 2003. Performance shown for periods prior to that date is based on the performance of the current underlying portfolio. 18 The underlying fund's manager or subadviser changed its name from Invesco AIM Capital Management to Invesco Advisers, Inc. on or about May 10, 2010. Contact your John Hancock representative for more information. 20 The manager for the underlying fund and its objectives changed effective on or about November 30, 2006. Performance shown for periods prior to that date reflect the results under its former manager. 21 This sub-account previously invested in a different underlying portfolio. It began investing in the current underlying portfolio effective May 17, 2004. Performance shown for periods prior to that date is based on the performance of the current underlying portfolio. 22 The underlying fund changed its name effective on or about May 9, 2011. Performance shown for periods prior to that date reflect the results under its former name. Investment Options as of Jul/30/2012 The underlying fund's manager or subadviser changed its name from AIM Investments, Inc. to Invesco AIM Capital Management on or about November 10, 2008. Contact your John Hancock representative for more information. The portfolio concentrates its investments in high yield/high risk fixed income securities, also known as junk bonds, which carry a much greater risk of default and tend to be more volatile than higher rated bonds. 47 Account balance reported may include assets transferred from another sub-account which was permanently closed between April 22, 2005 and May 7, 2005. 48 Account balance reported may include assets transferred from another Fund, which was permanently closed on or about October 25, 2010. Please contact your John Hancock representative for more information. 50 Account balance reported may include assets transferred from another Fund which was permanently closed between April 25, 2004 and May 1, 2004. 51 Effective June 1, 2009, the underlying fund changed its name to the Domini Social Equity Fund Investor Shares. 53 This sub-account was introduced on or about May 6, 2005. 54 Account balance reported may include assets transferred from another Fund, which was permanently closed on or about April 18, 2011. Please contact your John Hancock representative for more information. Page 11 of 15 55 This sub-account previously invested in a different underlying portfolio. It began investing in the current underlying portfolio effective on or about May 7, 2005. Performance shown for periods prior to that date is based on the performance of the current underlying portfolio. 56 This sub-account previously invested in a different share class of the same underlying portfolio. It began investing in the current share class effective on or about November 10, 2008. Performance shown for periods prior to that date is based on the performance of the current share class. 57 Account balance reported may include assets transferred from another Fund, which was permanently closed on or about October 26, 2009. Contact your John Hancock representative for more information. 61 This sub-account previously invested in a different share class of the same underlying portfolio. It began investing in the current share class effective on or about November 9, 2009. Performance shown for periods prior to that date is based on the performance of the current share class. 62 Account balance reported may include assets transferred from another Fund which was permanently closed between April 25, 2003 and May 5, 2003. 64 This sub-account previously invested in a different share class of the same underlying portfolio. It began investing in the current share class effective on or about November 8, 2010. Performance shown for periods prior to that date is based on the performance of the current share class. 65 This sub-account previously invested in a different share class of the same underlying portfolio. It began investing in the current share class effective on or about June 1, 2009. Performance shown for periods prior to that date is based on the performance of the current share class. 66 Effective May 25, 2012, there is no longer a redemption fee associated to this Fund. 67 The underlying fund changed its name effective on or about November 8, 2010. Performance shown for periods prior to that date reflect the results under its former name. The name of this sub-account changed effective on or about November 8, 2010 to more accurately reflect the name of the underlying fund. 68 This sub-account previously invested in another underlying portfolio. It began investing in the current underlying portfolio effective October 14, 2005. Performance shown for periods prior to that date is based on the performance of the current underlying portfolio. Performance shown for all periods has been adjusted to reflect the current sub-account charge and would be lower if it reflected the sub-account charge that was in effect prior to October 14, 2005, which was .20� higher than the current sub-account charge. 69 The sub-adviser or manager changed its name on or about May 6, 2006. Performance shown for periods prior to that date reflect the results under the subadviser's former name. 71 Only available under certain limited circumstances. Consult your John Hancock representative for more information. 73 This sub-account previously invested in a different underlying portfolio. It began investing in the current underlying portfolio effective October 14, 2005. 76 None of the Index Funds nor the underlying portfolios are sponsored, endorsed, managed, advised, sold or promoted by any of the respective companies that sponsor the broad-based securities market index, and these companies make no representation regarding the advisability of investing in the Index Fund. Indexes are unmanaged and cannot be invested in directly. Since the underlying portfolios are not actively managed, the Funds will generally reflect the performance of their indexes even in markets when the indexes do not perform well. 77 The underlying fund changed its sub-advisor on November 8, 2010 from Van Kampen Investments to Invesco Advisers, Inc. 78 Guaranteed Interest rates shown are gross ARA rates and assume the issuance of a contract at the beginning of each period shown. Actual return may vary depending on the administrative expense and, if applicable, the Sales and Service fee for the contract. The sales and service fee for the contract is the same as that shown for the sub-accounts under the contract. For regular ongoing contributions, interest rates are published at the beginning of each month and apply to all such contributions in that month. For other types of contributions, interest rates may change during the month. Investment Options as of Jul/30/2012 An investment in a guaranteed interest account is not insured or guaranteed by The Federal Deposit Insurance Corporation or any other government agency. Although the guaranteed interest accounts seek to preserve the value of an investment, it is possible to lose money by investing in these portfolios. Guaranteed interest rates are based upon the claims paying ability of the issuing company. 80 This sub-account previously invested in a different underlying portfolio. It began investing in the current underlying portfolio effective April 30, 2001. Performance shown for periods prior to that date is based on the performance of the current underlying portfolio. 81 This sub-account previously invested in a different underlying portfolio. It began investing in the current underlying portfolio effective February 9, 2004. Performance shown for periods prior to that date is based on the performance of the current underlying portfolio. 82 Account balance reported may include assets transferred from another Fund, which was permanently closed on or about October 30, 2006. Contact your John Hancock representative for more information. 83 This investment option is deemed a "Competing" investment option with the John Hancock Stable Value Fund and may not be available. An investment in this portfolio is not insured or guaranteed by The Federal Deposit Insurance Corporation or any other government agency. Although the underlying portfolio seeks to preserve the value of an investment, it is possible to lose money by investing in this portfolio. 85 Account balance reported may include assets transferred from another Fund, which was permanently closed on or about April 22, 2006. Contact your John Hancock representative for more information. 87 This sub-account was introduced November 5, 2010. 90 Account balance reported may include assets transferred from another Fund, which was permanently closed on or about April 28, 2008. Contact your John Hancock representative for more information. 91 The underlying John Hancock Variable Insurance Trust portfolio is not a retail mutual fund and is only available under variable annuity contracts, variable life policies or through participation in tax qualified retirement plans. Although the portfolios' investment adviser or sub-advisers may manage retail mutual funds with similar names and investment objectives, no representation is made, and no assurance is given, that any portfolio's investment results will be comparable to the investment results of any other fund, including other funds with the same investment adviser or sub-adviser. Past performance is no guarantee of future results. 92 The underlying fund changed its sub-adviser from T. Rowe Price solely to T. Rowe Price and RCM on or about November 6, 2006. Performance shown for periods prior to that date reflect the results under the former sub-adviser. 96 Changes were made to this sub-account effective on or about October 30, 2006. Contact a John Hancock representative for more information. 101 The underlying fund changed its sub-advisor on December 15, 2010 from MFC Global Investment Management (U.S.A.) Limited to John Hancock Asset Management, a division of Manulife Asset Management (North America) Limited. 102 This sub-account previously invested in a different underlying portfolio. It began investing in the current underlying portfolio effective November 7, 2011. Performance shown for periods prior to that date is based on the performance of the current underlying portfolio. The name of this sub-account changed effective on or about November 7, 2011 to more accurately reflect the name of the underlying fund. 103 The underlying fund changed its name effective on or about November 7, 2011. Performance shown for periods prior to that date reflect the results under its former name. The name of this sub-account changed effective on or about November 7, 2011 to more accurately reflect the name of the underlying fund. 106 Account balance reported may include assets transferred from another Fund, which was permanently closed on or about April 23, 2012. Please contact your John Hancock representative for more information. Risks Applicable to All Funds Credit and Counterparty Risk Page 12 of 15 A fund is subject to the risk that the issuer or guarantor of a fixed-income security or other obligation, the counterparty to a derivatives contract or repurchase agreement, or the borrower of a fund's securities will be unable or unwilling to make timely principal, interest, or settlement payments, or otherwise to honor its obligations. Issuer Risk An issuer of a security purchased by a fund may perform poorly, and, therefore, the value of its stocks and bonds may decline. Poor performance may be caused by poor management decisions, competitive pressures, breakthroughs in technology, reliance on suppliers, labor problems or shortages, corporate restructurings, fraudulent disclosures, or other factors. Liquidity Risk A fund is exposed to liquidity risk when trading volume, lack of a market maker, or legal restrictions impair the fund's ability to sell particular securities or close derivative positions at an advantageous price. Funds with investment strategies that involve securities of companies with smaller market capitalizations, foreign securities, derivatives, or securities with substantial market and/or credit risk tend to have the greatest exposure to liquidity risk. Manager Risk The performance of a fund that is actively managed will reflect in part the ability of the manager to make investment decisions that are suited to achieving the fund's investment objective. Depending on the manager's investment decisions, a fund may not reach its investment objective or it could underperform its peers or lose money. Market Risk The value of a fund's securities may go down in response to overall stock or bond market movements. Markets tend to move in cycles, with periods of rising prices and periods of falling prices. Stocks tend to go up and down in value more than bonds. If the fund's investments are concentrated in certain sectors, its performance could be worse than the overall market. Merger and Replacement Transition Risk In the case of Fund mergers and replacements, the affected Funds that are being merged or replaced may implement the redemption of your interest by payment in cash or by distributing assets in kind. In either case, the redemption of your interest by the affected Fund, as well as the investment of the redemption proceeds by the "new" Fund, may result in transaction costs to the Funds because the affected Funds may find it necessary to sell securities and the "new" Funds will find it necessary to invest the redemption proceeds. Also, the redemption and reinvestment processes, including any transition period that may be involved in completing such mergers and replacements, could be subject to market gains or losses, including those from currency exchange rates. The transaction costs and potential market gains or losses could have an impact on the value of your investment in the affected Fund and in the "new" Fund, and such market gains or losses could also have an impact on the value of any existing investment that you or other investors may have in the "new" Fund. Although there can be no assurances that all risks can be eliminated, John Hancock will use its best efforts to manage and minimize such risks and costs. Where the redemption of your interest is implemented through a distribution of assets in kind, the effective date of the merger or replacement may vary from the target date due to the transition period, commencing either before or after the target date, that is required to liquidate or transition the assets for investment in the "new" Fund. Additional Risks Applicable to Certain Funds Commodity Risk Commodity investments involve the risk of volatile market price fluctuations of commodities resulting from fluctuating demand, supply disruption, speculation and other factors. Currency Risk purchased by the fund could decline if the financial condition of the companies in which the fund invests decline or if overall market and economic conditions deteriorate. Exchange Traded Funds (�ETF�s) Risk Exchange Traded Funds are a type of investment company bought and sold on a securities exchange. An ETF often represents a fixed portfolio of securities designed to track a particular market index. The risks of owning an ETF generally reflect the risks of owning the underlying securities the ETF is designed to track. Fixed-Income Securities Risk Fixed-income securities or bonds are subject to credit risk and interest rate risk. The credit rating of bonds in the fund could be downgraded or the issuer of a bond could default on its obligations. In general, lower-rated fixed-income securities involve more credit risk. When interest rates rise, bond prices generally fall. Foreign Securities Risk Foreign securities involve special risks, including potentially unfavorable currency exchange rates, limited government regulation (including less stringent investor protection and disclosure standards) and exposure to possible economic, political and social instability. To the extent the fund invests in emerging market countries, it's foreign securities risk will be higher. Fund of Funds Risk A fund of funds invests in a number of underlying funds. A fund of fund's ability to achieve its investment objective will depend largely on the ability of its investment manager to select the appropriate mix of underlying funds and on the underlying funds ability to meet their investment objectives. A fund of funds is subject to the same risks as the underlying funds in which it invests. Each fund of funds bears its own expenses and indirectly bears its proportionate share of expenses of the underlying funds in which it invests. Growth Stock Risk Because growth securities typically do not make dividend payments to shareholders, investment returns are based on capital appreciation, making returns dependent on market increases and decreases. The market prices of growth stocks are highly sensitive to future earnings expectations. Growth stocks may therefore be more volatile than non-growth stocks. High Yield Securities Risk Fixed-income securities that are not investment grade are commonly referred to as high yield securities or "junk bonds." These securities offer a potentially higher yield than other, higher rated securities, but they carry a greater degree of risk and are considered speculative by the major credit rating agencies Index Management Risk Certain factors may cause the fund to track its Index less closely. For example, the manager may select securities that are not fully representative of the Index, and the fund's transaction expenses, and the size and timing of its cash flows, may result in the fund's performance being different than that of its Index. Initial Public Offerings (�IPO�) Risk The fund is subject to the risks associated with purchases of shares issued in IPOs by companies that have little operating history as public companies. The market for IPO issuers has been volatile and share prices of certain newly-public companies have fluctuated in significant amounts over short periods of time. Interest Rate Risk Fixed-income securities are affected by changes in interest rates. When interest rates decline, the market value of fixed-income securities generally will increase. Conversely, when interest rates rise, the market value of fixed-income securities will generally decrease. The longer the remaining maturity of instruments held by the fund, the more sensitive the fund is to interest rate risk. Funds that invest directly in foreign currencies and in securities that trade in, or receive revenues in, foreign currencies are subject to the risk that those currencies will decline in value relative to the currency being hedged. Large Cap Risk Derivatives Risk Leverage Risk A fund's use of certain derivative instruments (such as options, futures and swaps) could produce disproportionate gains or losses. Derivatives are generally considered more risky than direct investments and, in a down market, could become harder to value or sell at a fair price. Equity Securities Risk Stock markets are volatile, and the price of equity securities such as common and preferred stocks (and their equivalents) will fluctuate. The value of equity securities Investment Options as of Jul/30/2012 The fund's strategy of investing in large cap stocks carries the risk that in certain markets large cap stocks will underperform small cap or mid cap stocks. The fund may engage in transactions, including the use of synthetic instruments and derivatives, which may give rise to a form of leverage. Leverage may cause the fund to be more volatile than if the fund had not been leveraged because leverage can exaggerate the effect of any increase or decrease in the value of securities held by the fund. Lifestyle Portfolio Risk Page 13 of 15 A Lifestyle Portfolio ("Fund") is a "fund of funds" which invests in a number of underlying funds. The Fund's ability to achieve its investment objective will depend largely on the ability of the subadviser to select the appropriate mix of underlying funds and on the underlying funds' ability to meet their investment objectives. There can be no assurance that either a Fund or the underlying funds will achieve their investment objectives. A Fund is subject to the same risks as the underlying funds in which it invests, which include the following risks. Stocks can decline due to market, regulatory or economic developments. Investing in foreign securities is subject to certain risks not associated with domestic investing such as currency fluctuations and changes in political and economic conditions. The securities of small capitalization companies are subject to higher volatility than larger, more established companies. High Yield bonds are subject to additional risks such as the increased risk of default (not applicable to Lifestyle Aggressive Portfolio). For a more complete description of these risks, please review the underlying fund's prospectus, which is available upon request. Diversification does not ensure against loss. A Lifecycle Portfolio ("Fund") is a "fund of funds" which invests in a number of underlying funds. The Fund's ability to achieve its investment objective will depend largely on the ability of the subadviser to select the appropriate mix of underlying funds and on the underlying funds' ability to meet their investment objectives. There can be no assurance that either a Fund or the underlying funds will achieve their investment objectives. A Fund is subject to the same risks as the underlying funds in which it invests. Each Fund invests in underlying funds which invest in fixed-income securities (including in some cases high yield securities) and equity securities, including foreign securities and engage in Hedging and Other Strategic Transactions. To the extent the Fund invests in these securities directly or engages in Hedging and Other Strategic Transactions, the Fund will be subject to the same risks. As a Fund's asset mix becomes more conservative, the fund becomes more susceptible to risks associated with fixedincome securities. For a more complete description of these risks, please review the underlying fund's prospectus, which is available upon request. Each Lifecycle Portfolio has an associated target date based on the expected year in which participants in the portfolio plan to retire and no longer make contributions. The investment strategy of these Portfolios are designed to become more conservative over time as the Portfolio approaches and passes the target retirement date. The principal value of an investment in these Portfolios is not guaranteed at any time, including at or after the target date. Mid Cap Stock Risk Investments in mid-cap companies are subject to more erratic price movements than investments in larger, more established companies. In particular, mid-sized companies may pose greater risk due to narrow product lines, limited financial resources, less depth in management or a limited trading market for their securities. Mortgage-Backed and Asset-Backed Securities Risk When interest rates fall, homeowners are more likely to prepay their mortgage loans. An increased rate of prepayments on the fund's mortgage-backed securities will result in an unforeseen loss of interest income to the fund as the fund may be required to reinvest assets at a lower interest rate. Asset-backed securities include interests in pools of debt securities, commercial or consumer loans, or their receivables. The value of these securities depends on many factors, including changes in interest rates, the availability of information concerning the pool and its structure, the credit quality of the underlying assets, the market's perception of the servicer of the pool, and any credit enhancement provided. In addition, asset-backed securities have prepayment risks similar to mortgage-backed securities. Non-Diversification Risk A fund that is non-diversified may invest a high percentage of its assets in the securities of a small number of issuers. This approach may result in more volatile performance relative to more diversified funds. The less diversified a fund's holdings Investment Options as of Jul/30/2012 are, the more a specific security's poor performance is likely to affect the fund's performance. Sector Risk When a fund's investments are concentrated in a particular industry or sector of the economy (e.g., real estate, technology, financial services), they are not as diversified as the investments of most mutual funds and are far less diversified than the broad securities markets. Funds concentrating in a particular industry sector tend to be more volatile than other mutual funds, and the values of their investments tend to go up and down more rapidly. A fund that invests in a particular industry or sector is particularly susceptible to the impact of market, economic, regulatory and other factors affecting than industry or sector. Short Sale Risk The fund may sell a security that it does not own. A fund will lose money if the price of the security which it has sold short increases between the time of the short sale and the date when the fund acquires the security sold short. Small Cap Stock Risk The fund's investments in smaller companies are subject to more erratic price movements than investments in larger, more established companies. Small cap companies may be developing or marketing new products or services for which markets are not yet and may never become established. Although small, unseasoned companies may offer greater opportunities for capital growth than larger, more established companies, they also involve greater risks and should be considered speculative. Small/Mid Cap Stock Risk The fund's investments in small-cap and mid-cap companies are subject to more erratic price movements than investments in larger, more established companies. In particular, mid-sized companies may pose greater risk due to narrow product lines, limited financial resources, less depth in management or a limited trading market for their securities. Similarly, small cap companies may be developing or marketing new products or services for which markets are not yet and may never become established. While small, unseasoned companies may offer greater opportunities for capital growth than larger, more established companies, they also involve greater risks and should be considered speculative. Target Allocation Risk From time to time, one or more of the underlying funds may experience relatively large redemptions or investments due to reallocations or re-balancings of the assets of a portfolio, which could affect the performance of the underlying funds and, therefore, the performance of the fund. Turnover Risk Active and frequent trading of fund securities results in a high fund turnover rate. Funds with high turnover rates often have higher transaction costs, which are paid by the fund, that may have an adverse impact on fund performance, and may generate short-term capital gains on which taxes may be imposed. U.S. Government Securities Risk U.S. government securities do not involve the degree of credit risk associated with investments in lower quality fixed-income securities. As a result, the yields available from U.S. government securities are generally lower than the yields available from many other fixed-income securities. These securities, like other fixed-income securities, are subject to interest rate risk. Value Stock Risk The fund's investments in value stocks carry the risk that the market will not recognize a security's intrinsic value for a long time or that a stock believed to be undervalued may actually be appropriately priced. Page 14 of 15 To obtain group annuity investment option Fund sheets and prospectuses for each sub-account's underlying investment vehicle call 1-800-395-1113 These documents contain complete details on investment objectives, risks, fees, charges and expenses as well as other information about the underlying investment vehicle, which should be carefully considered. Please read these documents carefully prior to investing. Both John Hancock Life Insurance Company (U.S.A.) and John Hancock Life Insurance Company of New York do business under certain instances using the John Hancock Retirement Plan Services name. Group annuity contracts and recordkeeping agreements are issued by: John Hancock Life Insurance Company (U.S.A.), Boston, MA 02210 (not licensed in New York) and John Hancock Life Insurance Company of New York, Valhalla, NY 10595. Product features and availability may differ by state. John Hancock Investment Management Services, LLC, a registered investment adviser, provides investment information relating to the contracts. NOT FDIC INSURED | MAY LOSE VALUE | NOT BANK GUARANTEED | NOT INSURED BY ANY GOVERNMENT AGENCY © 2012 All rights reserved. P19754 06/12-20575 GA03221210707 Investment Options as of Jul/30/2012 Page 15 of 15